I don't think so...he can just evaluate his Masters degree and still get the max pts that one gets from Masters (126 for married/ 135 if unmarried). See the language on CIC website:
"You will only get points on the FSW selection grid for your highest completed Canadian educational credentials shown in the ECA report. See the conversion table to see how many points you would get for different credentials, based on the outcome statement included on your ECA report."
Source: http://www.cic.gc.ca/english/immigrate/skilled/assessment.asp
The other thing about NOC - are you saying that CIC requires us to have CA certification if I were to apply under NOC 1111 which means if I don't clear the CA exam but have 7 years of work experience - I become ineligible, correct?